Lokpobiri: FG Anticipates $50 Billion Investment into Oil Sector Before Year-end

•Says total deregulation will industrialise economy

Iyobosa Uwugiaren in Abuja

With foreign/local investors’ concerns being addressed, coupled with the “audacious’’ efforts to boost oil production to about 2.7 barrels per day, the Minister of State Petroleum Resources (Oil), Senator Heineken Lokpobiri, yesterday, said Nigeria remains a titan of African energy – expecting $50 billion worth of investments in the sector before the end of the year.

The minister who spoke with journalists in Abuja, yesterday, said that the policy direction of President Bola Ahmed Tinubu, has in the last one year, revolutionised the oil sector, making it very attractive to both local and foreign investors.

Explaining that the quickest way to fix the nation’s socio-economic challenges was through the oil sector, the minister said the federal government was working very hard to use oil resources to industrialise the country.

“The ongoing reform in the oil sector is attracting investors; we have addressed their concerns; and we have regained their confidence. We are expecting about $50 billion worth of investment to come in before the end of the year, and once more investors come in, our oil production will increase.

“There are so many oil wells that were drilled and locked up; and part of my mandate is to open up those wells to boost our oil production,” Lokpobiri added.

While saluting the people of the Niger-Delta for maintaining peace in the region, the minister said the peaceful environment had also encouraged the improvement of oil production.

The minister also revealed that the federal government had made substantive gains in the war against oil thieves in the Niger Delta.

According to him, “The marching order given by the President to the Armed Forces of Nigeria, in collaboration with my ministry, the Nigerian Police Force, Nigerian National Petroleum Company (NNPC) Limited and other security agencies, to declare a fresh war on perpetrators of oil theft – to improve oil production and revitalise the nation’s ailing economy, is yielding good results.’’

He explained that President Bola Tinubu was leading the process of developing the oil sector and attracting investors to the country, stating that the success of the upstream sector was important to the success of the mainstream/downstream sector.

The minister stated that Nigeria relies so much on crude oil production, and appealed to the media to be part of the journey to develop the sector.

“The President means well for Nigerians; we can trust him to do things differently,” he said.

On the ongoing total deregulation in the oil sector, he said the country would be better for it.

According to him, “The current situation is no longer sustainable. Even if the federal government is willing to continue with it, we don’t have the money to do it. The NNPC cannot import fuel and sell at half price.

“The government needs funds to develop infrastructure and better the lives of Nigerians. The money for the subsidy will be deployed to other things like public infrastructure, education, health care and jobs creation.’’

Lokpobiri, explained further that total deregulation of oil sector was also expected to allow for more private-sector operators in the sector, saying that when the products are available, the price would find its level.